Lang Lang Ltd

Multiple Choice

Lang Lang Ltd., a CCPC eligible for the small business deduction, has a March 31 year end. Due to the death of the owner/manager, the tax return for the year ended March 31, 2019 was not filed until May 12, 2021. The unpaid tax on March 31, 2019 was $15,500. Lang Lang Ltd. has never filed a return late before. What is the total late file penalty that the corporation is required to pay? (Do not include any interest payable.)

A) $775.
B) $2,635.
C) $1,860.
D) $3,720.